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In NC, can a unlicensed general contractor place a lien on real property? If not, how do I get it removed?
Anonymous2 views1 answers
Our general contractor was unlicensed at the time the contract was signed. The work exceeded $30,000. He has placed a lien on my home, even though I have paid the contracted amount (he claims he spent more than the contracted amount in expenses--these expenses are not requested/contracted extras--just general cost overruns). Do I need to take him to Civil Court to get the lien removed? Can I represent myself or do I need an attorney? Will reasonable attorney's fees be paid by the GC--assuming I win?
As a general rule in NC, general contractors cannot enforce a construction contract against the owner if they are unlicensed at the time the contract was formed and their scope of work exceeded the $30,000 requirement for licensure.
Liens can be removed in a number of ways, including by filing a civil action to remove the lien. A lien will expire by operation of law unless the contractor files an action to enforce the lien within 180 days after he last furnishes labor or materials to the site.
Where an unlicensed contractor files an action to enforce a lien on real property under a contract entered in violation of the contractor licensure statutes, the owner can assert an affirmative defense based on nonlicensure.
Generally, litigants do not have a right to recover attorneys' fees unless a statute or contract provides them with an express right. You should consult with an attorney in your area to review your contract and the job to advise you of your legal rights with respect to the specific facts of your case. A link to NC's construction lien laws is included below for your reference. Good luck.
DISCLAIMER: I am not your attorney and this answer does not create an attorney-client relationship. This answer does not constitute legal advice, but rather is intended for informational purposes only and may not be relied on. I highly recommend that you consult with a licensed attorney in your area to advise you of your rights with respect to the specific facts of your situation, as those facts may impact the general rules outlined above.
